Other insurance refers to situations where more than one insurer covers the same asset or assets. Most types of insurance, except life insurance have "other insurance clauses." It is common for other insurance clause to state that where there is other insurance, the insurers will each pay out a portion of the claim.

Most claims insured under general liability and other policies are covered on a primary basis. For example, if a customer files a claim against your company for a bodily injury they sustained in a slip-and-fall accident on your premises, your liability policy should cover the claim first.

However, some events generate claims that are more appropriately insured by other types of policies. To address this issue, liability policies contain a policy condition called other insurance. This clause explains how the policy will respond when certain claims covered by the policy are also insured elsewhere.